Bombay High Court Rules in Favor of Kochi Tuskers Kerala, BCCI Faces Major Financial Setback
Court Decision on IPL Franchise Dispute
The Board of Control for Cricket in India (BCCI) has suffered a significant financial blow as the Bombay High Court upheld an arbitral award exceeding ₹538 crores in favor of the Kochi Tuskers Kerala, a former Indian Premier League (IPL) team. This ruling, delivered on June 17, addresses a long-standing dispute stemming from the abrupt termination of the franchise fourteen years ago. The BCCI's challenge against the award was dismissed by Justice R.I. Chagla, who stated that courts cannot reassess the conclusions made by an arbitral tribunal.
Court's Observations
In a setback to the BCCI, the Bombay High Court on June 17 upheld arbitral awards of over ₹538 crores in favour of the owners of the now defunct Indian Premier League team, Kochi Tuskers Kerala.
— Bar and Bench (@barandbench) June 18, 2025
Kochi Tuskers, which participated in the 2011 IPL season, was terminated by the… pic.twitter.com/RmnCUaiyDQ
The court noted that the BCCI's dissatisfaction with the tribunal's findings regarding the evidence and merits does not constitute a valid reason to challenge the award.
Furthermore, the arbitrator's determination that the BCCI's termination of the Kochi franchise represented a breach of contract was deemed appropriate and warranted no interference, as it was based on a proper evaluation of the evidence presented.
Background of the Dispute
The Kochi Tuskers were awarded an IPL franchise in 2010 for ₹1550 crores, to be paid over ten years. However, the team only participated in the 2011 season, managed by a consortium led by RSW, which included several stakeholders.
In 2011, the franchise failed to provide a renewed bank guarantee of ₹156 crores due to internal disputes among the owners and concerns regarding venue availability, leading to BCCI's insistence on a new guarantee.
A tribunal led by former Chief Justice R.C. Lahoti ruled in 2015 in favor of the franchise, awarding ₹384 crores in damages for lost profits and directing the BCCI to pay ₹153 crores to RSW as compensation with interest. The BCCI contested this ruling in the Bombay High Court, arguing that the tribunal exceeded its jurisdiction and awarded excessive damages.
In 2018, the Kochi franchise escalated the matter to the Supreme Court, which mandated the BCCI to deposit ₹100 crores in advance to maintain the stay on the proceedings.